BDO to Pay $50 Million
To Settle Tax-Shelter Case

The accounting firm BDO USA LLP agreed Wednesday to pay $50 million to settle federal allegations that it helped wealthy clients use fraudulent tax shelters to evade $1.3 billion in income taxes.

BDO, the U.S. arm of BDO International, the world's fifth-largest accounting firm, entered a deferred-prosecution agreement with federal prosecutors in New York in connection with a criminal charge of tax-fraud conspiracy. The firm admitted responsibility for criminal conduct. The charge will be dismissed if the firm complies with...